"Banking" BrainPop Flashcardizz

Front

What might happen if the government did not insure bank deposits?

Back

People would lose their savings if the banks went without business.

Front

Which of the following is a true statement about banking? Keeping your money at home prevents banks from charging you interest fees, It is generally safer to keep your money in a bank than at home, Most new businesses are forced to open without loans from a bank, Most banks give their customers interest-free loans

Back

It is generally safer to keep your money in a bank than at home

Front

Compared to a checking account, the rules governing your use of a savings account are generally more:

Back

Restrictive

Front

Wes wants to accumulate enough money to buy himself a new car. He should probably open a: checking account, debit card account, savings account, credit card account

Back

savings account

Front

When you borrow money from a bank, where does that money come from?

Back

The money comes from other customers who have deposited with the bank

Front

How do banks make profits?

Back

By charging people interest for borrowing money

Front

Banks generally pay a higher interest rate on savings accounts than on checking accounts. What inference can you draw from this?

Back

Banks encourage people to keep money in savings accounts

Front

After writing a check for $172, your account is overdrawn by $31. How much money did you have in the account before you wrote the check?

Back

$141

Front

What is the difference between a credit card and a debit card?

Back

A debit card takes money directly from your banking account; while using a credit card is a form of borrowing.

Front

Why are banks an essential part of any functioning national economy?

Back

The loans they provide keeps many businesses functioning.